Edita Food Industries launches new BonBon candies offering; increases stake in subsidiary Edita Confectionary Industries
Edita has dedicated enhanced capacity at its E15 facility to production of new candy offerings, while securing full ownership of its confectionary subsidiary ECI service, bolstering its position in Egypt’s rapidly growing market for candy products
Edita Food Industries S.A.E. (EFID.CA on the Egyptian Exchange and EFIFq.L on the London Stock Exchange), a leader in the Egyptian packaged snack food market, announced today that it has launched a line of juice-filled stick candies under the Company’s new BonBon brand. BonBon products will be offered in strawberry, orange and apple flavors, which will retail at EGP 2 per package.
The introduction of BonBon, which will function as a sub-brand of Edita’s existing MiMix candy brand, furthers the objectives of diversifying and differentiating Edita’s product offering, and will help solidify the Company’s growing leadership in Egypt’s market for candies and confectionaries. Edita enjoys a leading market share of 9.4% in the candy and confectionary segment, which in 2018 generated sales of EGP 1.2 billion.
BonBon confections will be produced at Edita’s E15 facility in Beni Suef, which houses the Company’s candy production lines. Edita has commissioned additional capacity at the E15 facility, which is operated by Edita subsidiary Edita Confectionary Industries (ECI), dedicated to the production of stick candies. This new line utilizes state-of-the-art technologies and was constructed at a total investment cost of EGP 62 million.
Alongside the introduction of its BonBon brand, Edita has concluded an agreement to acquire Confindel LTD’s 22.7% stake in ECI, leaving Edita with a shareholding stake of 99.98%. This purchase will allow the Company to make full use of economies of scale as it works to capture further gains from the growing demand for candy products, one of the fastest growing segments in Egypt’s snack food market.
Commenting on these developments, Edita Chairman and Managing Director Hani Berzi said: “Edita is moving quickly on a number of fronts to take full advantage of remarkable growth in one of our key markets. Now that the Company has secured full ownership of ECI, it will be able to more intensively utilize the subsidiary’s resources and scale advantages. The investments we have made in the capabilities of the E15 facility are already allowing Edita to further differentiate its product mix and capture an even greater share of the growth we are witnessing in Egypt’s candy market.”